FINANCING SMALL SCALE BUSINESSES IN TAMALE

TERMINOLOGIES

1. CAPITAL: Wealth owned by a Company in the form of money, stock or funds which is to be used for the creation of additional wealth. 2. DISCOUNT: A reduction made in the cost of buying items in bulk or for prompt payment. 3. EMPLOYEE: A person or someone who is paid regularly to work for a person or Organization 4. ENTERPRENEUR: A person who on his own account and initiative, makes the policy of a business and undertakes the financial risk. 5. INTEREST RATE: The specific sum of money which has to be paid for money borrowed. 6. NET ASSETS: The value of the resources of a company after deducting all liabilities 7. SHAREHOLDERS’ WORTH: The total assets of a business that belong to shareholders. It thus includes the value of all assets minus all liabilities. 8. PLOUGHED BACK PROFIT: To re-invest earnings in the business in order to develop or expand it.

Table of Contents Page
Declaration i
Certification ii
Dedication iii
Acknowledgement iv
Abstract v
Terminologies vi
Table of Contents vii

CHAPTER ONE
1.1 Background of study 1
1.2 Statement of the Problem 5
1.3 Objective of the study 5
1.4 Significance of the study 6
1.5 Scope of the study 6
1.6 Methodology 6
1.7 Limitation 7
1.8 Chapter organization 7

CHAPTER TWO
2.1 Introduction 8
2.2 Description of small scale Business 8
2.3 Definition 8
2.4 Characteristics 9
2.5 The concept of Finance 11
2.6 Definition of Finance 11
2.7 Sources of Finance 12
2.8 Internal sources of Finance 12
2.9 Problems of Finance 20

CHAPTER THREE
3.1 Introduction 26
3.2 Research Area 26
3.3 Population of